Jaiprakash Industries has bagged the contract for the long-delayed civil work of the 390-mw Dulhasti hydro-electric project in the Kishtwar region of Doda district in Jammu & Kashmir.
The National Hydroelectric Power Corporation (NHPC) has placed the letter of intent with the construction company for the job which is expected to cost around Rs 800 crore.
Work on the project was suspended by a French consortium, led by Celegec, in August 1992 on the pretext of increased militancy in the region. While the project was originally scheduled to be commissioned in 1994, it is now expected to be completed by the year 2001.
National Hydroelectric Power Corporation has been carrying out work at various sites of the project departmentally for over one year after rescinding the agreement with the French civil work contractor, DSV.
The civil work awarded to Jaiprakash Industries involves construction of a 10-km headrace tunnel which passes through fragile geological areas.
While work at the Dulhasti project is yet to pick up momentum, the 480-mw Uri hydro-electric project is nearing completion. All its four units of 120 mw each are likely to be commissioned during the current financial year.
National Hydroelectric Power Corporation expects an annual revenue of Rs 550 crore from the sale of power to be generated by the Uri project.
This revenue will be utilised partly for repayment of loans and partly for construction of the Dulhasti project.
However, a question mark has been put on the ownership of the Uri project as the Jammu and Kashmir Chief Minister has taken up with the Centre the transfer of Uri as well as the 690-mw Salal project to the state government to shore up the state's finances.
The Centre is yet to take a decision in the matter since the transfer involves the major policy issue regarding development of hydroelectric resources in the country through central initiative.
The Centre has set up four hydro power utilities in the country
